CryptoQuant described the pullback as a sign that the strongest phase of the sell-off has passed, although exchange flows remain higher than levels recorded in previous months.
Bitcoin News
CryptoQuant described the pullback as a sign that the strongest phase of the sell-off has passed, although exchange flows remain higher than levels recorded in previous months.
Stablecoin data adds another layer to the bearish situation. The peak in total flows occurred on February 6, when approximately 60,000 Bitcoins entered the exchange in a single day as prices slid towards $60,000. This figure has since returned to around 23,000 Bitcoins on a seven-day moving average, a decline of around 60%.
Daily USDT net inflows into exchanges have fallen from a one-year high of $616 million on November 5, 2025 to just $27 million recently. Flows even turned negative on January 25, 2026, recording a net outflow of $469 million, a sign that less capital is willing to purchase crypto assets at current prices.
CryptoQuant analysts described the combination of concentrated whale selling, broad altcoin distribution, and dwindling stablecoin reserves as factors that reduce the market’s ability to absorb further downward price pressure. The company used the term “dry powder” to describe the diminishing pool of stable liquidity available to fuel any potential recovery.
Bitcoin reached an all-time high of $126,080 in October 2025 before dropping 46% to around $67,582 at the time of writing. A separate analysis from CryptoQuant released earlier this month placed the asset’s potential bear market bottom at near $55,000, matching the asset’s realized price, which has historically served as a major support level during past downturns. Crypto Market Bear Market
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